| News Release |
|
|
|
Petaling Jaya, July 16, 2004 - Amway (Malaysia) Sdn Bhd, the wholly-owned subsidiary of Main Board-listed Amway (Malaysia) Holdings Berhad (Amway) today announced that it has entered into Conditional Sale and Purchase Agreements to acquire two pieces of land to build its new Headquarters. Both pieces of land are situated on Jalan 223, Petaling Jaya, just a few doors away from Amway's current Headquarters. With a combined size of around 18,000 square meters, the two pieces of land is three times the size of the land upon which Amway's current Headquarters sits. Amway is funding the acquisition of both pieces of land at around RM16.8 million from internally-generated funds. "The purchase of both pieces of land to build a new Headquarters is part of our expansion plans to strengthen our presence and bring our products and services closer to distributors and their prospects," said Low Han Kee, Managing Director of Amway. "To that end, Amway has allocated RM50.4 million to construct a new HQ and to build more regional distribution centers in cities where we don't have a physical presence," added Low. The land purchase follows on the heels of the opening of two new regional distribution centers (RDCs) in Sibu and Melaka in June and July respectively. Amway is slated to open another RDC in Alor Setar and relocate its existing Butterworth RDC to bigger premises to cater to increased business volume. "Despite a 28-year presence in Malaysia, Amway is still achieving growth and our substantial investment reflects our confidence in the future of the business. This is a conscious effort to strengthen our position as a leading direct selling company and to take the business to the next level of growth," added Low. The company also today reported a 6.5% increase for the first nine months of FY04 to RM339.4 million compared to RM318.7 million in the corresponding period of last fiscal year. Profit before tax for the first nine months of FY04 was RM55.6 million, down 7% from RM60 million in the first nine months of last financial year. Amway also announced a third quarter interim dividend of 7.5 sen per share less 28% income tax and a special dividend of 20 sen per share less 28% income tax. The dividends will be determined based on shareholders who are registered as at August 5, 2004 and the payment date is August 18, 2004.
|
